• Customer receipts increased to $6.21 million
• Net operating cash flow improved to positive $0.2 million
• Maintained focus on cost discipline and margin improvement

AUCyber Limited (ASX: CYB) has provided its activity and cash flow reports for the quarter ending 30 September 2025. During the quarter, the company continued its operational stabilisation following strategic exits of low-margin contracts earlier in the year. Customer receipts improved to $6.21 million compared to the previous quarter of $5.48 million. Operating cash flow, excluding the impact from delayed payments, improved from ($1.4m) in the previous quarter to a positive $0.2 million for the quarter. The company maintained its focus on cost discipline and margin improvement initiatives, while leveraging its cybersecurity capabilities to underpin future growth. Quarterly operating costs amounted to $3.46 million, with reductions in marketing, staff, and administration expenses. Net cash outflow from operating activities for the quarter was $1.33 million, elevated due to the timing of approximately $1.5 million in accounts payable from the June quarter that were processed in July. Excluding this timing impact, operating cash flow would have been positive. The company closed the quarter with $2.08 million in cash and no debt facilities drawn.

Looking ahead to the remaining quarters of FY26, AUCyber management will remain focused on improving operating cash flow through cost optimization and margin improvement, leveraging cybersecurity capabilities for growth, maintaining liquidity while pursuing sustainable revenue streams, driving higher-value services and reducing reliance on low-margin resale, and maintaining liquidity while pursuing sustainable revenue streams for long-term sustainability growth.